Turnbull urges return to energy guarantee

Former prime minister Malcolm Turnbull has used a speech in Sydney to urge his former coalition colleagues to revive the National Energy Guarantee.

The federal government has rejected Malcolm Turnbull's pleas to revive the National Energy Guarantee despite the former prime minister claiming it had "overwhelming" party support when he was leader.

Mr Turnbull pointed out now Prime Minister Scott Morrison and Treasurer Josh Frydenberg were strong supporters of the dumped policy.

"It was a vital piece of economic policy and had strong support - none stronger than that of the current prime minister and the current treasurer," he said in Sydney on Tuesday.

But Mr Frydenberg said the government's policy was now based around a "reliability guarantee".

"We've made it clear the NEG is not the government's policy," he told reporters in Canberra.

Mr Turnbull, who was ousted in August after climate sceptics in the party baulked at the energy policy, lamented there was a "huge gulf" between coalition MPs on the issue.

"A significant percentage don't believe climate change is real and we should get out of Paris," he said.

"They are prepared to cross the floor, to blow up the government, in order to get their way."

However, the coalition "insurgents" who torpedoed the NEG were in a "minority".

"There's never been a national energy policy that has had more universal support than the NEG," Mr Turnbull said.

"And like Julie Bishop and many others, I would encourage - at the risk of being criticised for speaking about politics which apparently former prime ministers aren't allowed to do according to some of the media - my colleagues to work together to revive the NEG."

He said without the NEG Australia would end up with "higher emissions and higher energy prices".

However, he credited the government with making considerable effort to deal with electricity prices and provide greater reliability.

These included an ACCC inquiry into retail prices, a plan to underwrite "firm" power generation, action on a review by the chief scientist and doing a deal with energy retailers.

A version of Mr Turnbull's NEG has now been adopted by the Labor opposition.

Mr Frydenberg said Labor was looking to the NEG to give it "cover" over its high emissions reductions target, which would push up prices and damage the economy.


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Source: AAP


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